Rhodium Group, which expects the EU to impose tariffs in the 15% to 30% range on Chinese EVs, said those tariffs were unlikely to be enough to check competition from China.
The findings, released Monday, come amid the EU's ongoing anti-subsidy investigation into EV imports from China. "Even if the duties come in at the higher end of this range, some China-based producers will still be able to generate comfortable profit margins on the cars they export to Europe because of the substantial cost advantages they enjoy," the report said.
The report said that BYD will likely need to cut prices to meet its goals of gaining more market share in the EU. A 30% tariff rate would still leave enough room to do so.
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